Week 22/05 – 26/05

acb.vn, dhc.vn, frt.vn, hbc.vn, hhv.vn, gex.vn, gmd.vn, mwg.vn, nvl.vn, pvs.vn, pnj.vn, tpb.vn, vhc.vn

Note: In the past week, 4 stock dividends announced…that I’ve found…the dilution of shareholders is ridiculous in Vietnam

Corporate

ACB VN: announced the payment of dividends in 2022 in cash and shares and last date registration will be June 2nd. Accordingly, ACB will pay a cash dividend at the rate of 10% and pay 15% stock dividend.

Comment: Stock dividends….

DHC VN: decided to buy an additional 7.76 mn shares of Giao Long Paper Joint Stock Company at the price of VND10,000 /share (equivalent to VND77.6 bn).

FRT VN: pays the 2022 dividend in cash and shares, the total rate of 20%. The ex-rights date is June 6th and last registration date is June 7th. Specifically, FRT will pay dividends in 2022 in cash at the rate of 5% and issue 17.8 mn shares at the rate of 15%.

Comment: Stock dividends….

HBC VN: wants to issue 47 mn shares to 2 individuals at the price of VND12,000 /share and make maximum bank loan of VND1,000 bn.

HBC VN: won the bidding package for a social housing project in Hai Phong City with the package value of VND3,000 bn out of the total project investment of VND4,865 bn.

HHV VN: will issue more than 21.5 mn shares to pay dividends in 2022 (the ratio of 7%) and the last registration date and the ex-dividend date will be June 8th and June 7th , respectively.

Comment: Stock dividends…

GEX VN: GEX Investment One Member Limited Liability Company has sold all over 33 mn GEX shares (equivalent to 3.91% of capital) to restructure its investment portfolio.

GMD VN: sets, in 2023, revenue target of VND3,920 bn (+3% YoY) and PBT target of VND1,136 bn (-13% YoY). In 1Q2023, GMD recorded revenue of VND901 bn (+2.5% YoY) and PAT of VND254 bn (-20.3% YoY). Also, GMD postpones the plan of offering 100 mn shares as market conditions are not favorable to continue implementing the plan.

Comment: I hope that they permanently shelve it…according to management for the amount of paperwork and levels of approval required by the local SEC and the government, as it is an SOE, is tremendous and can take years to be adjusted.

MWG VN: recorded, in 4M2023, net revenue of VND36,947 bn (-23% YoY), equal to 27% of the year plan. Also, net revenue is estimated VND9,857 bn in April.

NVL VN: Mr. Nguyen Tran Dang Phuoc submitted his resignation from the position of a member of the Board of Directors from June 22, 2023 according to personal aspirations.

Comment: Oh finally!

PVS VN: signed a contract to manufacture and supply offshore wind power stands for the CHW2204 project in Taiwan.

Comment: PVS and PVD are well positioned to benefit from the increase in budget from the energy/oil & gas players.

PHR VN: agreed to submit to GVR on investment cooperation of Tan Hung Industrial Park (Bac Giang) and Bau Bang 4 Industrial Park (Binh Duong).

PNJ VN:  recorded, in April, net revenue of VND2,263 bn and PAT of VND111 bn (-18% and -23% respectively YoY). For 4M2023, PNJ has net revenue of VND12,059 bn (-7% YoY) and PAT of VND859 bn, achieving 34% of revenue target and 44% of annual profit target.

Comment: Even the mighty PNJ has finally stumbled! Premiums on the shares are totally gone – note this is the first I’ve seen this since 2016….

TPB VN: will issue nearly 620 mn shares to existing shareholders at the rate of 39.19% in shares.

Comment: Stock dividends…

VHC VN: recorded, in April, export revenue of VND869 bn (-16% MoM and -47% YoY).

Comment: Baby Thai Union is becoming attractive again.

Country

• No one has been able to borrow from the VND120-tn (US$5.11 bn) credit package the government launched two months ago since there is no supply of social housing.
• Over 735,000 tons of construction steel were sold in April, the second-lowest monthly sales figures since 2022. The sale was down 15% yoy.
• In 4M 2023, Vietnam’s textile and garment exports reached about 11.7 bn USD, down 20% yoy. Vitas representative predicted that this decline could last until the end of 3Q and at least to 4Q to recover.
• Like oil, prices of other energy products such as natural gas, liquefied petroleum gas and blended gasoline are expected to fluctuate heavily this year. The market will become less disruptive when macroeconomic conditions stabilize.
• Vietnam’s digital economy may take the lead in Southeast Asia with average growth of 31% a year and reach USD49 bn by 2025, said a report by Google, Temasek and Bain & Company.
• SBV announced it would cut the interest rate ceiling on deposits of under six months to 5% a year starting Thursday. The central bank will keep the maximum interest rate on deposits of under a month at 0.5% a year, while the rate for term deposits of 1-6 months would drop from 5.5% to 5% a year.
• Remittances to Ho Chi Minh City are expected to reach USD7 bn in 2023, an annual increase of about 6-7%. Remittances reached USD2.1 bn in the first quarter this year, up over 19% YoY.
• In 1Q, Vietnamese textile and garment exports decreased nearly 18 % on-year to more than USD7 bn, according to General Department of Vietnam Customs statistics. The April data continued to show not very positive signs, with an export value of USD2.5 bn, down nearly 20 % YoY.
• Pig prices have risen 20% from last month as African swine fever and market instability curbed supply. Spikes in pig prices were recorded across Vietnam this week, with the south experiencing the largest hikes as price tags rose to VND62,000 (USD2.64)/kg. Retail prices at markets and supermarkets also went up, with pork side selling for VND140,000-160,000/kg.